Under Armour sells MyFitnessPal

Athletic performance apparel brand Under Armour, Inc. has completed the sale of the MyFitnessPal platform to Francisco Partners. This announcement follows the October 30, 2020 news where Under Armour detailed that it had entered into a definitive agreement with Francisco Partners regarding the sale of this business for a transaction value of 345 million dollars, inclusive of the achievement of potential earn-out payments. Debt financing for the transaction was provided by MidCap Financial.

Under Armour had originally acquired MyFitnessPal for 475 million dollars five and a half years ago. Earlier this year, Under Armour also announced they would be winding down the Endomondo platform which they acquired for 85 million dollars.

Under Armour decided to sell off MyFitnessPal because they wanted to focus on their apparel brand and aim it at its target consumer. Under Armour selling MyFitnessPal at a price of less than what they paid to acquire it has stoked some questions about if it was operating at a loss for the company or if the company was in dire need to get rid of debt.